Organic Farmer Network: Network Discussion Summary

Topic: Refinancing the Farm

Charlie tells about his experience: “in order to get refinanced we discovered that no where on the appraisal could the word ‘farm’ be used, or in the loan application. One appraisal that was done was completely voided because the appraiser put on the form that we are an organic farm. We also found that having farm income is a problem. The underwriters have a problem with income being generated from the land they are holding as collateral. Adding to the strangeness of this all is that we were getting the loan from Farm Credit. And now our monthly payments are going to their parent bank, AGFIRST! This experience has left me with lots of questions about how these rules are made, and who is making them.”